Which of the Following Best Describes Why an Independent Auditor

question 17

Multiple Choice

Which of the following best describes why an independent auditor is asked to express an opinion on the fair presentation of financial statements?

• A)It is difficult to prepare financial statements that fairly present a company's financial position and changes in cash flows without the expertise of an independent auditor.
• B)It is management's responsibility to seek available independent aid in the appraisal of the financial information shown in its financial statements.
• C)The opinion of an independent party is needed because a company is not likely to be considered objective with respect to its own financial statements.
• D)It is a customary courtesy that all stockholders of a company receive an independent report on management's stewardship in managing the affairs of the business.

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Definitions:

Mathematics

is the abstract science of numbers, quantity, and space, either studied in its own right (pure mathematics) or as applied to other disciplines such as physics and engineering (applied mathematics).

Syllables

Units of organization for a sequence of speech sounds, typically comprising a vowel sound with or without surrounding consonants.

Phonemes

The smallest units of sound in a language that can make a difference in meaning.

Linking Sounds

Linking sounds refers to the phonetic practice where adjacent words are connected smoothly in speech, common in many languages.